(1.) This is an appeal from a judgment of His Majesty's Court of Appeal of Malta delivered on 4 March 1938, reversing the judgment given on 11 October 1937, by the Civil Court of Malta, First Hall. The appeal raises the question of the validity of a customs duty imposed under an Ordinance made by the Governor of Malta, namely the Ordinance No. 27 of 1936. The respondent, who was the plaintiff in the action, raised the question by importing certain articles of the value of 3s. 9d. suitable for use in connexion with Coronation festivities. The appellant, Edgar Sammut, a Collector of Customs, exacted a duty on these articles in terms of the Ordinance 27 of 1936. This duty was paid under protest, and on 21 April 1937, the action was commenced. The trial Judge decided that the Ordinance was valid, but the decision of the Court of Appeal was to the contrary effect. Hence the present appeal.
(2.) The nature of the dispute can be shortly stated. It was admitted by counsel for the respondent in his learned argument that the Island of Malta (which for the present purpose includes Gozo) became a British possession in the year 1813 under circumstances which their Lordships will consider in a little more detail later. In the years 1849, 1887 and 1903 certain limited rights of administration were conferred on the inhabitants by Letters Patent and Orders in Council made by the Crown. In the year 1921 Letters Patent (to be called for convenience the Principal Letters Patent) were issued by His Majesty, dated 14 April 1921, establishing in Malta a Legislature consisting of a Senate and Legislative Assembly to deal with local matters. The material Section (S. 41) conferring the legislative powers on the Senate and Legislative Assembly began in the following terms :
(3.) It shall be lawful for Us and Our successors, by and with the advice and consent of the Senate and Legislative Assembly, subject to the provisions of these Our Letters Patent, to make Laws, to be entitled ' Acts, ' for the peace, order and good government of Malta, with the following limitations, namely that the said power to make laws shall not extend to matters (hereinafter referred to as reserved matters) touching the public safety and defence of Our Empire and the general interests of Our subjects not resident in Malta, or touching the general interests of Our subjects resident in Malta and the preservation and continuance of peace, order, and good government therein in the event of such interests and such peace, order, and good government being endangered, or the carrying on of responsible government under these Our Letters Patent being prejudiced, by reason of any grave emergency which the Secretary of State shall be satisfied has arisen and continues to exist within the Island, and (without prejudice to such general limitation) shall not extend to the following matters in particular or any of them.